Upcoming Tata SUVs Under ₹10 Lakh Could Shake Up the Market

Tata Motors is gearing up to make a strong statement in the compact SUV segment by introducing three new small SUVs, all likely to be priced under ₹10 lakh. This move is expected to further solidify the company’s presence in the highly competitive sub-4 metre category. Two of these SUVs are scheduled to launch within the next three years, with the first major release expected as early as November this year.

The first in line is the facelifted version of the Tata Punch. According to information from Gaadiwaadi, the new model will come with notable upgrades including a larger 10.25-inch touchscreen infotainment system, which will replace the current 7-inch unit. The driver display is also set to be updated with a larger digital panel, enhancing the vehicle’s overall tech appeal. Additional improvements are expected in both features and design, aligning the Punch facelift with Tata’s newer models.

Under the hood, the updated Tata Punch is expected to retain the 1.2-litre petrol and petrol-CNG engine options found in the current model. However, a significant upgrade could come in the form of transmission choices. While the current CNG variant only offers a 5-speed manual gearbox, the new Punch CNG might be offered with a 5-speed automated manual transmission (AMT) as well, making it more appealing to urban commuters.

Looking further ahead, Tata Motors is also working on the second-generation Tata Nexon, internally codenamed "Garuda," which is expected to hit the market by 2027. The upcoming Nexon will continue with the 1.2-litre petrol and petrol-CNG engine options but is unlikely to retain the 1.5-litre diesel engine. On the features front, it is set to raise the bar with premium upgrades such as a 12.3-inch touchscreen infotainment system, Level-2 ADAS, and an electronically adjustable driver’s seat. These enhancements will aim to make it one of the most advanced vehicles in its segment.

Another model in the pipeline is the Tata "Scarlett," a rugged SUV reportedly designed to take on off-road-oriented rivals like the Mahindra Thar and Maruti Suzuki Jimny. The Scarlett is expected to come with a bold and muscular design, aligning with the growing demand for lifestyle SUVs in the Indian market.

Tata’s aggressive expansion in the under-₹10 lakh SUV segment indicates a clear strategy to dominate the entry-level and mid-range SUV space by offering high-tech, value-for-money vehicles. With launches on the horizon and strong customer interest in budget-friendly SUVs, Tata Motors seems well-positioned to disrupt the market once again.